China Scrutinizes EU Dairy Imports, Czech Republic in Focus

In a move that has sent ripples through the European dairy industry, China has launched an anti-subsidy investigation into dairy products imported from the European Union, focusing on Ireland. The Czech Republic is among the countries under scrutiny in this wide-ranging probe.

The investigation, announced by China’s Ministry of Commerce on Wednesday, will examine various types of cheese, milk, cream, and similar products. This action comes in response to a petition filed on July 29 by the China Dairy Industry Association and the China Dairy Association.

The investigation’s extensive scope encompasses 20 subsidy programs across the entire EU bloc. Ireland stands out as the largest exporter of dairy products to China among the targeted countries, with exports valued at $461 million (10.4 billion CZK) last year. Other nations, including the Czech Republic, Austria, Belgium, Croatia, Finland, Italy, and Romania, are also under the microscope.

This move by China is widely perceived as a response to the high tariffs imposed by Brussels on Chinese electric vehicles entering the EU. Just a day before the announcement of this dairy investigation, the EU revised its original proposal for tariffs on Chinese-made electric vehicles. Although the tariffs were slightly reduced, they remain high, much to Beijing’s displeasure.

As tensions escalate in this trade dispute, the dairy industry in the EU, including the Czech Republic, braces for potential impacts. The investigation underscores the intricate interplay between global trade